Never mind the reserves, what about the people? | Deloitte Middle East | Energy & Resources Industries | oil & gas, electricity, water | ME E&R whitepaper 2 has been added to your bookmarks.
Never mind the reserves, what about the people?
Managing scarcity for the future
In this whitepaper, Deloitte Middle East discusses the issues that the Middle East is facing in shortages of talent in the energy and utilities sector and reveals some tactics that national oil companies are using to address the nationalization and skills issue, such as sponsoring continuing education.
For those of us who are old enough to remember - and judging by the average age of employees in the global energy and utilities sector, that means most of us who work there - the origins of a shortage of talent lie back in the 1990s.
At that time, a series of mega-mergers in the oil and gas industry led to a wave of cost cutting, re dundancies and outsourcing, as a result of which many technical people who were then entering mid- career left the industry for good.
At the same time, much of the global utilities industry was in the throes of restructuring, privatization and regulation, as governments tried to inject efficiency and accountability into previously state-owned enterprises, and to turn these utilities into busine sses. Th e effect of this reshaping of the utilities industry was similar to that seen in the oil and gas industry; a shedding of experienced labor entering mid-career